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AAR Corp shares drop 26.6%, rated strong buy with 50% upside potential

Analyst Insights
22 Sep 2026
Seeking Alpha
View Source
Bullish
AAR Corp shares drop 26.6%, rated strong buy with 50% upside potential

Shares of AAR Corporation fell 26.6% from their August high, prompting a strong buy rating with a $167 price target, suggesting about 50% upside. The decline is viewed as a healthy valuation reset rather than a sign of weakening fundamentals, supported by robust fiscal 2027 guidance. The company's shift to a diversified aftermarket platform, margin improvements, and growth in high-margin software underpin the positive outlook. Valuation using EV/EBITDA indicates 37% upside to $155 per share, reinforcing the bullish investment thesis.

AAR Corporation's stock drop is the subject, with Pluang's Industrials sector data providing market context. For readers following Industrials, here is Pluang's market snapshot as of Sep 22, 2026 20:31 WIB: out of 92 priced US Industrials stocks, 58 rose and 34 fell. Notable movers include Ingersoll Rand at USD 73.61 (+1.80%), Southwest Airlines Co at USD 42.50 (+1.75%) with a typical hold time on Pluang of 64 days and order activity 100% Sell, and Byrna Technologies Inc at USD 3.58 (+1.70%) with a typical hold time of 16 days and order activity 97% Buy. The most notable figure is Southwest Airlines Co's 100% sell order activity on Pluang.

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